U.S. stock futures edged higher early Wednesday as investors positioned ahead of the latest inflation report, a key data point that could influence the Federal Reserve’s interest-rate outlook.
S&P 500 futures rose 0.13%, while Nasdaq 100 futures gained 0.29%. Dow Jones Industrial Average futures added 20 points, or 0.04%.
Asian markets were mixed. South Korea’s Kospi surged more than 3%, while Japan’s Nikkei 225 gained 0.16%. Australia’s S&P/ASX 200 slipped 0.58%, Hong Kong’s Hang Seng Index fell 0.98%, and mainland China’s CSI 300 advanced 0.28%.
In U.S. premarket trading, Super Micro Computer shares jumped more than 7% after the data center infrastructure company issued upbeat first-quarter guidance. CoreWeave also surged 14% after reporting a second-quarter adjusted operating margin of 5%, topping expectations.
Markets are now focused on the July consumer price index, due at 8:30 a.m. ET Wednesday. Economists expect headline CPI to rise 0.1% month over month and core CPI to increase 0.2%. On an annual basis, headline and core inflation are forecast at 3.4% and 2.5%, respectively, both still above the Federal Reserve’s 2% target.
A hotter-than-expected reading could pressure stocks and strengthen expectations for a more restrictive Fed policy at the September meeting. Inflation concerns have remained elevated, particularly as U.S. crude oil prices have climbed above $83 a barrel amid uncertainty surrounding the reopening of the Strait of Hormuz.
Treasury yields will also be closely monitored following the CPI release. The 10-year yield is around 4.7%, while the 2-year yield is near 4.2%, reflecting continued concerns over interest rates staying higher for longer.
Investors will have another major inflation test Thursday with the release of July’s producer price index. On the earnings front, traders will also watch results from Cerebras and Cisco later in the day.
